Toby Neugebauer, the co-founder and largest shareholder of energy and data center development company Fermi, announced Friday that he is putting his proxy campaign on hold. The move came after a Texas Business Court judge stepped away from the case just before a scheduled hearing, throwing off the timeline for a planned strategic review.
Neugebauer said that more than 70% of the votes counted so far had supported his effort to call a special meeting. However, the unexpected judicial delay made it impossible to seat new board directors in time to oversee what he described as a “true dual-track process” aimed at addressing the company’s financial and leasing needs.
Despite suspending the campaign, Neugebauer said he intends to keep pressing the court to issue a ruling on Fermi’s 70% supermajority bylaw — a provision he has publicly criticized as a tool used to entrench the existing board.
The proxy effort had gained notable backing from advisory firms Glass Lewis and Egan-Jones, Neugebauer noted.
He also expressed continued confidence in Fermi’s ability to lock down its tenant group. The company supplies power to data centers during a period of surging demand driven by the artificial intelligence industry. Neugebauer said he believed a deal could be reached, provided that negotiations involve the same parties his team had been working with prior to his departure from the company.
